Ternium S.A. (TX) Gains But Lags Market: What You Should Know
Ternium S.A. (TX) closed at $43.71 in the latest trading session, marking a +1.04% move from the prior day. The stock lagged the S&P 500's daily gain of 1.45%. At the same time, the Dow added 0.86%, and the tech-heavy Nasdaq gained 0.44%.
Heading into today, shares of the company had lost 6.34% over the past month, lagging the Basic Materials sector's gain of 0.61% and the S&P 500's loss of 3.26% in that time.
Ternium S.A. will be looking to display strength as it nears its next earnings release, which is expected to be February 15, 2022. On that day, Ternium S.A. is projected to report earnings of $4.93 per share, which would represent year-over-year growth of 133.65%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.65 billion, up 80.44% from the year-ago period.
Any recent changes to analyst estimates for Ternium S.A. should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.49% lower. Ternium S.A. is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, Ternium S.A. is holding a Forward P/E ratio of 3.77. For comparison, its industry has an average Forward P/E of 5.06, which means Ternium S.A. is trading at a discount to the group.
The Steel - Producers industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 50, putting it in the top 20% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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